With an 8.6% rate of interest, tax-free maturity and interest and tax deductions available under Section 80C of the Income Tax Act, 1961, single families with girl children below the age of 10 years, are queueing up to open a Sukanya Samriddhi Account. If you have been thinking about opening this account too, then here’s all that you need to know about it.

 

Sukanya Samriddhi Yojana (SSY) account is a government-backed saving scheme for the girl child. The scheme encourages parents to build a fund for the future education of their female child. SSY was launched by Prime Minister Narendra Modi in 2015. Currently, the SSY account fetches an interest rate of 7.6%, the highest among the Post Office small savings schemes.

 

How to open Sukanya Samriddhi Account?

1) The account can be opened at any India Post office or branch of authorized commercial banks in the name of the girl child

2) The Sukanya Samriddhi Account can be opened either by parents or legal guardians of a girl child, with a notified bank or post office

3) The SSY account can only be opened up to the age of 10 years only from the date of birth of a girl child.

4) The guardian is required to fill up details like the name of the child and the guardian, address, birth certificate details of the child, along with KYC information of the guardian.

5) For opening the account, Sukanya Samriddhi Account Form (SSA-1) has to be filled and submitted along with the required documents.

6) The account is opened once the documents are verified by the bank/post office.

7) After the account is opened, a passbook is issued to the account holder.

8) SSY scheme matures when the girl child turns 21.

 

Documents you need to open Sukanya Samriddhi Yojana Account are:

  • SSY Account opening form
  • Beneficiary’s birth certificate
  • Address proof of the guardian or parents of the beneficiary
  • Id proof of the guardian or parents of the beneficiary.

 

Who is eligible to open the account?

If you are a parent or a legal guardian of a girl child aged less than 10 years.

How many accounts can you open?

Each account for up to two girl children can be opened. Three, in case of twins being born the second time.

How much can you deposit?

You can deposit a minimum of Rs. 250 up to Rs. 1.5 lakh in a financial year.

What is the tenure of the deposit?

21 years from the date you open the account.

What is the rate of interest on SSY deposits?

The rate of interest offered on Accounts opened between October 1, 2018, and 31, December 2018 is 8.6%.